The potential of blockchain as a gamechanger for the real estate sector has always been present. It is slowly coming into form, according to MPA Mag, in that it has created a sort of change within the industry. Contrary to what everyone thinks, real estate is facing an evolution of blockchain, and not the revolution-or rather, it’s past revolution by this time.
The non-profit FIBREE has created a report, where it showed that blockchain use in real estate is getting widespread among different countries. Among these countries, the US is most evident with its need for blockchain as a real estate “disruptor.” At the city level, things tend to be different. London is the clear leader at that certain level.
There are still many markets, however, where blockchain-powered real estate is a mere novelty. The president of FIBREE, Achim Jedelsky, said that these companies are their primary targets. He pointed out that FIBREE considers it a milestone to contribute to the market with a perspective set on widening the impact of blockchain; not just a local disruption, but disruption of real estate on a global scale.
An analysis of blockchain shows exactly why it is currently rising to evolve and not to revolt. Regulation plays a huge part, and Forbes reported that some of these have shaken the foundation of the technology. In contrast, many of the projects that have since given it a bad name have started to leave the space it used to vacate.
McKinsey published a report that served to point out its limitations, specifically in retail banking. It was revealed that there are three major factors that banking relies on to be profitable. According to analysis, there is no reason why blockchain won’t find a solution to disrupt processes in that category, in the same way, it had brought its improvements into real estate.
The same report also pointed out that there are benefits for retail banks, along with the remittance advantage, in using blockchain. The same report served to vindicate blockchain in the eyes of the banking industry, showing that there is a possibility for blockchain to bring about an evolution in banking as well.
To say that blockchain will forever remain in the realm of crypto-processing is a lie. Real estate has been made all the better by it. Banking seems to have a scenario where blockchain will remove redundant, antiquated processes if it is given the proper regulation. Clearly, blockchain is here to stay, if it is properly studied and deployed.